Table of Contents
Assignment 1 1
LO 2.1 show macro and micro environmental factors which influence marketing decisions 1
Assignment 2 3
LO 1.1 explain the various elements of the marketing process 3
LO 1.2 evaluate the benefits and costs of a marketing orientation for a selected organization 3
LO 2.2 propose segmentation criteria to be used for products in different markets 4
LO 2.3 choose a targeting strategy for a selected product/service 4
LO 2.4 demonstrate how buyer behavior affects marketing activities in different buying situations 4
LO 2.5 propose new positioning for a selected product/service 5
LO 3.1 explain how ...view middle of the document...
LO 2.1 show macro and micro environmental factors which influence marketing decisions
Company’s marketing environment is made up of three parts-internal environments, which includes the conditions within the company like employees, policies products, etc. and these things can be controlled by the company. Next is Micro environment which is made up of that factors which are close to the company and they affect the company on daily basis like customers, banks, etc. Last is macro environment which includes the factors that affect the firm in long run. These factors can be national or global and it affects the whole industry like economy, recession, etc (Hughes, 2002).
In Social culture Tesco has many factors to satisfy the needs of the people and they make regular efforts to understand the demands of the people. They have many types of products to meet the needs of every age group and behavior for example they have organic food for diet conscious people, kids range, etc. Tesco understands that people wants to shop at one place and that why company provide everything under one roof. If we see the economic culture then the company was able to survive 2008 recession, in fact they were making profits at that time also because they started producing goods which people need even in worse market conditions. They allocated their funds to setup new products and as a result they were successful. It’s the modern era and Tesco is well aware, that’s why they use the technology in many different ways to make the shopping easy for the customers. They have also started their online store to help people to shop from home and it’s a huge success for them. If we see the political and legal culture, we know that each country has its different policy and if we see Tesco, they are operating in many countries so its performance is hugely affected by those policies. Tesco is regularly trying to meet the demands of local market by making products that meet the needs of the customers. In the context of environment culture, Tesco try to use the renewable sources of energy as much as possible in its stores and they also encourages their employees to reduce the wastage (Simpson, 2005).
If we analyze further, the main strength of Tesco is its Brand Name. People associate the company with good, reliable and trustworthy products which meet their demands completely. Tesco has always tried to use the innovative ways to improve the customer’s shopping experience by using its online store, club cards. Company is growing day by day in the world and they are also expanding their product line to reach more and more people. If we see the weakness then we will find that Tesco is heavily relying on UK market because 50% of its revenue comes from UK. If company wants to expand its business then there are many opportunities available for them in the non food sector. They have expanded their product line to insurance, banking, etc. and this expansion is helping the company...